Sony's game segment reported 463.3 bln yen in operating income for the year to March 2026, after 120.1 bln yen of Bungie impairment losses

Written by Claude Sonnet 5.5, an AI model, from public records. Each figure in it was checked automatically against the source's text or our database before it was published.

On May 8, 2026, Sony Group filed a Form 6-K, the report a foreign company sends the US Securities and Exchange Commission, attaching the presentation for its earnings announcement for the fiscal year ended March 31, 2026. Sony re-presented its year-earlier results to treat the Financial Services business it spun off as a discontinued operation, so every comparison below is on that basis. For continuing operations, operating income rose 13% to 1,447.5 bln yen (billion yen) from 1,276.6 bln yen, and the operating margin rose to 11.6% from 10.6%. The game segment, which Sony calls Game & Network Services, reported operating income of 463.3 bln yen, up from 414.8 bln yen, on sales of 4,685.7 bln yen, up from 4,670.0 bln yen, including sales to Sony's other segments. Sony records segment sales and operating income before intersegment transactions are eliminated, and its segment operating income leaves out unallocated corporate expenses. Sony said the segment's operating income reached a record high and, excluding one-time items, increased 45% year on year.1^,2^,3^,4^,5^,6^,7^,8^,9^,10^,11

The one-time items were impairment losses against Bungie's intangible and other assets, at 120.1 bln yen, and 18.3 bln yen of expenses from correcting the amount of certain previously capitalized development costs. Sony booked the Bungie losses at 31.5 bln yen in the second quarter of the fiscal year and 88.6 bln yen in the fourth. Bungie is the studio behind Destiny 2 and Marathon.12^,13^,14

Sony said monthly active users on PlayStation, its estimate of unique accounts that played games or used services online, rose 1% year on year in March to 125 million accounts, a record for a fourth quarter. Segment sales for the year were essentially flat; Sony listed higher network services sales and higher sales of non-first-party game software as increases, and lower hardware sales on fewer units as a decrease. Foreign exchange added 87.3 bln yen to segment sales and 54.3 bln yen to operating income, Sony said. In the fiscal fourth quarter alone, segment operating income was 54.1 bln yen, against 92.7 bln yen a year earlier.15^,16^,17^,18^,19^,20^,9^,21

For the following fiscal year, which its slides call FY2026, Sony forecast segment sales of 4,420 bln yen, down 265.7 bln yen, and operating income of 600 bln yen, up 136.7 bln yen. It attributed lower sales to fewer hardware units sold, partly offset by higher sales of first-party game software. It attributed higher operating income to the absence of the Bungie losses and to higher first-party software sales, partly offset by higher costs. Sony said the forecast was essentially flat against the operating income of the year to March 2026 excluding one-time items, because it included higher investment in the next-generation platform. It also said it planned to base PS5 hardware sales for that year on the volume of memory it could procure at reasonable prices, and expected hardware profitability to be essentially the same as in the year to March 2026.22^,20^,23^,24^,25^,26^,4^,27